How to start a record label process by allmusicindustrycontacts.com

There are a lot of things that you will need to start a legitimate record label. You need to decide if you are going to have a partner or multiple business partners. If not you will be the sole proprietor of your record Label. You can also incorporate your record label which involves a lot of paper work but gives you a limited amount of financial responsibility if your record label goes bankrupted or gets sewed. Think of a creative name to call your record label, you can go to your County Clerks Office to get a Doing Business As license or (DBA). At the County Clerks Office you will check the computer database to see if there was another company doing business with that name in the past ten years.

Once you find out that the name of your company is indeed original you will have to file for a Fictitious Name Statement and pay around twelve dollars for using the County Clerks Office Services. At the County Clerks office they will give you a list of newspapers that you will need to run an ad in stating that you are doing business under the name you chose for your record company. You will need to run the ad for four weeks and the cost is around forty dollars. If you use your last name as the name of your company this whole process is much easier. You will need to get an Employer Identification Number or (EIN). The EIN is used to identify a business entity you can get one at this address http://www.irs.ustreas.gov/businesses/small/.

If you are planning on purchasing and reselling products from a CD manufacturer, you will need a resale certificate. You will have to acquire a Retail Merchant License collect and pay taxes to whatever state you are planning to do business in. If you are using a name other than your last name you will have to copyright and trademark your record company name. It would be a great idea to buy business plan software for your computer so that you can figure out things like start up expenses, production, studio time or studio equipment, CD’S, posters, flyers, T-shirts, business cards, contracts, promoters, etc. You will also need to employ several music industry professionals like a CEO, A&R executives, Managers, Agents, Producers and you definitely need to retain a lawyer.

I would be your own accountant for many reasons. You can use Quick Books computer software. I suggest that you don’t hire your best friends to fill these positions. It is not cheap to start and run a successful record label, (Believe me I Know). It is your responsibility to pay government taxes, social security, mail out W2 forms, etc. You will definitely have to start your own publishing company with ASCAP or BMI, (I went with ASCAP). There is a yearly fee but it isn’t very expensive. The address is www.ASCAP.com! You will also need a barcode to put on your tapes and CD’s; you can get an affordable barcode at www.cdbaby.net/resources/barcode.htm. I recommend getting your barcode at CD baby because they already paid the fee to be able to register 10,000 products. You will be able to get a barcode there cheaper than anywhere else. You should also get familiar with how the different kinds of Royalties are dispersed